Financial year 2026 was a challenging year for Jaguar Land Rover (JLR), shaped by a confluence of internal and external disruptions, said Tata Motors Passenger Vehicle (TMPV) chairman N Chandrasekaran in his address to shareholders in the company’s annual report released on Tuesday.
JLR, the British luxury auto brand and subsidiary of TMPV, was hit by the introduction of incremental US tariffs, which impacted exports from the UK to the EU and the US.
Additionally, a cyber incident forced the company to pause production for five weeks. Owing to these headwinds, JLR sales fell sharply from 400,898 units in FY25 to 307,915 units in FY26.
Chandrasekaran said that these challenges reinforce the importance of resilience across strategy, vehicle architecture and powertrain choices, while needing to remain committed to technology investment. JLR’s revenues for the year fell by 20.9% to GBP 22,911 million, with results impacted by a production pause due to the cyber incident.
Chandrasekaran said that TMPV is entering FY27 with confidence, supported by a robust pipeline of new launches and multi-powertrain offerings.
“Our focus will remain on delivering industry-leading growth, deepening our commitment to safety, sustainability, quality and customer delight, while becoming resilient and staying agile amid macroeconomic and geopolitical uncertainties," he said in his shareholder letter.
He added that JLR will additionally focus on reducing its breakeven levels, which have been impacted by tariffs, currency and commodities inflation, back to 300K units in the next 2 years whilst remaining focused on delivering exceptional launches of its New Range Rover Electric, Jaguar Type 01 and continuing to build its Modern Luxury franchise.
He also said that TMPV and JLR will continue to collaborate on manufacturing, technology and people, enhancing scale efficiencies, accelerating learning and reinforcing capital discipline.
“Early progress is evident with the commencement of operations at the new Panapakkam facility in Tamil Nadu, creating a shared manufacturing facility for best practice execution and scale benefits,” stated Chandrasekaran.
Commenting on the India PV business, the chairman said that the company delivered a strong operating and financial performance in fiscal 2026. “We delivered the highest-ever sales of ~6.42 lakh cars and SUVs during the year, achieving robust year-on-year growth of 15.3%, nearly twice the industry average. In the second half of the fiscal year, your Company emerged as the second largest player in the industry, with a market share of 14.1%, reflecting the growing scale, competitiveness and effectiveness of our multi-powertrain strategy,” he said.
He also highlighted TMPV’s leadership in the electric vehicle (EV) market. The company sold over 92,000 EVs, marking a 43.4% growth over the previous year. It has been the number one EV player for the past 7 years, with the current market share being 40.2%.
TMPV Managing Director Shailesh Chandra said that while the industry will need to closely monitor ongoing geopolitical developments, the fundamental demand drivers of the Indian PV market remain strong, with growth expected to be led by SUV, CNG, and EV segments.
“We enter FY27 with confidence, supported by stronger fundamentals, a robust pipeline of new launches, multi-powertrain offerings, and renewed momentum from the second half of FY26. Our focus will remain on delivering industry-leading growth while deepening our commitment to safety, sustainability, quality, and customer delight. At the same time, we will continue to ensure agility and resilience in our execution as we navigate the geopolitical environment,” stated Chandra.
On a consolidated basis, TMPV delivered revenues of Rs 335,582 crore in FY26 and profit before tax (PBT) of Rs 2,519 crore for the year. The consolidated financial metrics for the year were impacted due to multiple headwinds at JLR, including the production pause for five weeks due to the cyber incident, said the company.
